Because the wind project generates 10% of the town’s usage, each user pays 10% of this amount owed to the project, on a per KWh basis

10% of 1.3 cents is .13 cents, so each user is charged .13 cents per KWh on their distribution utility bill

The RPS requirement in this year was 10%, so with the additional 10% from the wind project, Nantucket residents used 20% renewable energy

5. In the second year of the contract, the average weighted wholesale price, “Reference Price”, is $90 per MWh

Therefore, Nantucket’s residents are owed from the wind project $10 per MWh ($80 - $90 = -$10), which is 1.0 cent per KWh

Because the wind project generates 10% of the town’s usage, each user is entitled to 10% of this amount owed from the project, on a per KWh basis

10% of 1.0 cent is 0.1 cents, so each user is credited 0.1 cents per KWh on their bill

The RPS requirement in this year is 11%, so with the additional 10% from the wind project, Nantucket’s residents use 21% renewable energy

6. Benefits from Nantucket’s contract

Nantucket’s residents, businesses and government have 10% of their electricity cost stabilized at 8 cents / KWh, for 15 years

The price could also have been stabilized at 5 cents/KWh, if the town decided they didn’t care about using more renewable energy than the RPS

A new wind project is able to be built in Mass. which wouldn’t have been built otherwise, because the project is able to secure financing on the basis of its contract with Nantucket

All of New England benefits from lower electric and gas costs, because there is that much less demand for gas, and because of the wholesale price suppression from the wind project being a “price taker” in the wholesale electric market

COMMUNITY BY COMMUNITY, WE CAN MOVE OUR NATION TOWARDS A RENEWABLE ENERGY FUTURE FASTER THAN BEFORE!